Vlog #7: Why I don't power down
Investor viewpoint
From an investor's standpoint, I don't power down because I don't know a better investment than Steem at the moment.
I don't want to power down ('take profit') and sell my Steem for euro's to have them sitting in my bank account with 0% interest.
So I would need to find a better investment than Steem to put my powered down Steem in. Something that grows faster than Steem.
I don't know a better investment. So I would then have to speculate on something and I do don't that.
Blogger viewpoint (not mentioned in Vlog)
From a bloggers point of view, I wouldn't power down unless I absolutely needed the money because I know that I won't be able to make the same amount of Steem tokens in the future.
My payouts might increase in dollar value if the price of Steem goes up but I will earn less Steem tokens.
There is a fixed amount of Steem tokens in the reward pool and more users every day trying to earn them.
Just something to think about when you are considering powering down.
Steempower generates more STEEM
Having Steempower also generates more STEEM because you get more curation rewards and receive a small interest on the amount of Steem power you have. If you power down you you will slowly get less and less of these STEEM rewards.
Follow Me @exyle
People see powering down as something nefarious or bad, something detrimental to the platform. If used the right way, it can be an awesome feature.
What I personally like to do is keep my stake always powering down so that I can get a portion of my locked Steem Power liquidized. That way if I need to trade it or something, I can! I haven't, to this date, traded any of my Steem from a power down. So if I don't need to utilize the liquid Steem, I just shuffle it right back into my Steem Power. I repeat that every week :-D.
Power up yo' power down!!! That's what I do.
From my understanding, that's kinda the purpose of the mechanic, so you can have a nice little weekly "pay check," if you need it.
Thanks for always dropping solid blogs!
Thanks for your nice comment and compliment.
You are right. I have seen many do this power down/up rotation and it makes absolute sense if you want to trade or take profit when there is a huge price spike or any reason really.
The only downside I can see is that you have to ask yourself these questions every week before you power it up again. I don't have to think about it. Just less worry :)
But besides that powering down rotation makes more sense.
If I want to trade Steem, I just buy it on an exchange and trade with it haha. What I have invested in the platform will only grow. I do sometimes send friends/family Steem to give their account a little bump. My wife ( @kotturinn ) for example just got me for 500 Steem and then powered it up :-(. She's evil.
Cool that your wife is on here too! Bianca (my girlfriend) is as well but not as active as I would like. I don't think your wife is evil. Evil would have been selling that STEEM to dollars and go cloths shopping :). Powering up is a wise decision!
I say evil in a joking manner haha.
Yeah she is super active on here and on Golos. He posts are always super high quality, I wish she had more followers/voters. She puts so much effort into her posts and does such an amazing job, she gets sad when not many people react to her stuff. If you look at her content, you'll see she absolutely kills it.
nice thank you
Hey my bro!
Awesome vlog as always, man! And yeah, I must say that I agree you what you say 100%. Steem will be more difficult to get hold of as the price accelerates upwards. Imagine the day when a post may only earn a few of steem but the actually monetary value remains still high. To me, that makes every "single" unit of steem a precious commodity and that time may not be as far off as we think.
It's a similar mindset to Bitcoin. I believe we are now in the "hoarding" phase of Steem's existence. In that, I mean gathering up as much as possible, expecting it's value to increase regularly at the same time. Remember, the whole "Steem-o-verse" is barely a year old. That's nothing when you look at the bigger picture. Establishment of creative and innovative ideas take time to mature (Facebook, Instagram, reddit, etc.) and gain public acceptance.
It's all relational in theory and our minds will adjust accordingly. A few months ago, a 25 cent steem was seen as a massive pump, whereas today it will be viewed as a "crash" price. So my point is, lets look at the evidence in front of us and understand the potential this thing has. Surely "holding" more than "spending" makes more financial sense as things stand right down.
Beautiful post, my brother! Look forward to loads more from you.
Steem on, @exyle! :)
Thanks, man and an awesome reply by you! What you are saying is what I believe as well. Previous earned Steem was easy earned Steem. It will be much harder to get it in the future. What Steem has achieved in a year so far is amazing!
That's so true. And I love the fact that to power down, it takes a week to get the first payout. If I could withdraw my Steem Power quicker, I may have been tempted to sell during one of the recent rellies. But I'm thankful for the fact that it does take a week, or else I'm sure I would have regretted my decision at a later date.
Yes! It's indeed also a brake on emotional selling.
Totally agree. Investing in Steemit for me is much like investing in myself. There is no need to power down as I see it as a long investment. I also believe that Steem is highly undervalued as a currency.
This is true! Not only is Steem a nice financial investment, it's also a nice personal investment. I have a lot of fun blogging here and many share this feeling!
Great thinking and a very wise decision @exyle Congrats to your Steem investment it seems that you have a very bright future ahead. I am new to Steem and still figuring the ins and outs of this community. Looking forward to an encouraging start and be able to get more Steem power in the days ahead.
Thank you! And you will do fine here!
all good reasons! actually one more is that if you do sell someone else buys. In a way, you're selling yourself out of power and influence :)
You are right! Sound advice!
Thank you for telling this.
I had my doubts regarding steem power down
You are welcome!
Thank you. I powered down, 'cause I saw a button and I pressed it! :)
I'm sure you have your eggs in other baskets (btc eth ltc steem) and not 100% in STEEM?
I can tell you I have more than 1/3 into STEEM.
That's ok!
Just making sure it's NOT 100%